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Netflix didnโt just beat Blockbusterโthey exploited its biggest weakness. In 2000, Blockbuster made $800M from late fees. Customers hated them. Netflix saw an opportunity. Instead of charging per rental, they launched a $19.99/month unlimited plan.
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How Blockbuster's One Offer Almost Killed Netflix! So Blockbuster was founded in 1985 as a movie DVD rental company. They had huge stores, stocks of all movies, and movie reviews from their employees. It was good place to shop at but the pain point
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